Kering Shares Fall to €241.70 Following Further Analyst Downgrade
Kering shares have fallen 2.6% to €241.70 in mid-session trading on Thursday, May 21, amid a 0.61% decline in the CAC 40. The stock is among the largest declines in the Paris index. A recent downgrade in price target is weighing on the stock a week before the general meeting.
Avior Capital Markets Lowers Its Target from €266.35 to €253.29 on Kering
On May 21, Avior Capital Markets updated its view on the luxury group by lowering its price target from €266.35 to €253.29. The firm maintains its underperformance rating, consistent with its previous stance. At the current price of €241.70, the new target offers a theoretical upside of 4.8%, but the negative outlook impacts the session. This revision comes amid a challenging sector environment for luxury goods exposed to China: jewelry and gold have seen a decline of 21.3% year over year in April according to official Chinese data, indicating still-recovering demand. The luxury sector more broadly weighs on the Paris stock market, with Hermès International also down 2.03% in the same session.
The Stock Falls Below the MM50 and Approaches Support at €227.25
The stock is fluctuating between the MM20 at €239.01 (just below the current price) and the MM50 at €248.88, which it has just fallen below after the rebound at the beginning of the month. The gap with the MM200, at €271.92, is more than 11%, showing medium-term pressure despite a one-year performance of 32.4%. The major technical support remains at €227.25, a level that was nearly reached last May 18 at €231.35. The RSI at 53 remains neutral and does not indicate immediate stress. Over three months, the stock has declined by 13.06%. The next significant event is scheduled for May 28 with the annual general meeting, which will also feature a partial renewal of the board of directors.
